The Growing Belonging Deficit in the Workplace

New research from Mental Health First Aid England (MHFA) has revealed a troubling trend: only 41% of employees feel they can bring their whole self to work, a steep decline from 66% in 2020. Even more concerning, 30% of employees say their organisation sometimes rejects others for being different.

This lack of belonging isn’t just an ethical issue – it’s a business one. Employees who feel they can’t be themselves at work report lower productivity (31%), poorer mental health (34%), and decreased engagement (36%). With retention and workplace wellbeing at stake, businesses need to take action.

Why Belonging Matters for Businesses

A workplace where employees feel excluded is a workplace that struggles with engagement, performance, and retention. The MHFA study shows that underrepresented groups are disproportionately affected:

  •  54% of Black employees say not being able to bring their whole self to work impacts productivity
  • 51% of gay or lesbian employees report that it harms their mental health.
  • Only 25% of employees with mental ill health feel they can be open about their struggles at work

For HR leaders, these statistics highlight an urgent need to create a psychologically safe and inclusive culture – one that benefits employees and strengthens business performance.

Building an Inclusive Workplace: Practical Steps

Creating a culture of belonging doesn’t happen by accident. It requires intentional action, ongoing education, and leadership commitment. Here are three key takeaways from OnHand’s ED&I Handbook that businesses can implement today:

  1. Foster Psychological Safety
    Employees need to feel safe voicing concerns and expressing their true selves without fear of judgment or retaliation. Encourage open conversations about ED&I, train leaders in active listening, and create speak-up cultures where diverse perspectives are valued.
  2. Move Beyond One-Off Training
    Many companies provide ED&I training, but few ensure that learning translates into action. Embed ED&I into leadership development, employee onboarding, and day-to-day decision-making to drive real, lasting change.
  3. Hold Leaders Accountable
    Change starts at the top. Companies must ensure their leadership reflects their workforce and holds itself accountable for ED&I progress. Regularly audit hiring, promotion, and retention data to track inclusion efforts and identify gaps.

Creating a Workplace Where Everyone Belongs

As Sarah McIntosh, CEO of MHFA England, points out, businesses must move beyond rigid, outdated structures to embrace flexible, inclusive policies. A workplace that prioritises an inclusive approach will be more resilient, adaptable, and successful in the long run.

Want to build belonging at your workplace? Book a demo with OnHand and start fostering real inclusion at work.

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